Dangote Refinery is ready to start delivering its first shipment of Premium Motor Spirit (PMS) today, Tuesday, September 3, as confirmed by Nairametrics. The refinery, which can produce 650,000 barrels per day, has completed its testing phase and is prepared to introduce its products to the local market.
This development is expected to provide relief to Nigerians who have been facing petrol shortages in various towns and cities across the country. Insider sources have revealed that the Nigerian National Petroleum Corporation (NNPC) Limited will be the first buyer of Dangote’s products, with NNPC officials already at the Lagos petrochemical plant to receive the delivery.
Aliko Dangote, the CEO of the refinery, is also present at the plant today to witness the unveiling of the petroleum products after months of delays and issues. Notably, NNPC is expected to be the exclusive buyer of Dangote’s products due to its current challenges in meeting international debt obligations to global oil traders.
The rollout of petrol by Dangote Refinery is a significant milestone for Nigeria’s oil and gas sector, as the country aims to achieve self-sufficiency in petrol production and reduce its reliance on imports. Nigeria currently consumes about 35 million liters of petrol daily, while Dangote Refinery, once fully operational, can produce at least 100 million liters per day. The refinery has faced challenges and delays in the past, including supply issues with NNPC and international oil companies (IOCs), but these issues were resolved through the intervention of the Nigerian Upstream Petroleum Regulatory Commission (NUPRC) and other key stakeholders.
The Federal Executive Council (FEC) has also supported the project by allowing Dangote Refinery to purchase crude oil in local currency and sell petrol in the same currency, easing pressure on the foreign exchange market. As Dangote Refinery begins delivering petrol today, Nigeria is set to transition from being solely a crude oil producer to a nation with potential energy security and independence. Additionally, the refinery’s production of petroleum products signals the complete deregulation of the downstream sector, paving the way for a more robust and competitive market.